Flavored milk sold by Britannia Industries Ltd to be classified under head HSN 22029930.

[BRITANNIA INDUSTRIES LIMITED 2020-VIL-119-AAR]

The issue in advance ruling involved in the classification of a milk shake which consisted of 87% tonned milk , 10% of sugar, added flavors and is supplied in tetra packs after necessary processes which is ready for consumption and marketed under the brand name “Britannia Winkin Cow Thick Shake”.

Decision

Held that the product should be classified under head CTH 22029930 as this group contains “beverage ready for consumption”. Though beverage is not defined in GST, but in common parlance, it is considered as a drink that can be consumed directly, hence flavoured milk can be considered as a beverage. Further it denied to transplant the provisions of FSSAI Act citing that FSSAI Act has different objects and purposes.